LLC Dissolution Checklist: A Step-by-Step Guide to Streamline Your Process

Dissolving an LLC involves several steps, and overlooking any can lead to complications. Our checklist ensures you cover all bases for a smooth dissolution.

Preliminary Steps

• Review LLC Operating Agreement: Check for any dissolution procedures outlined in your LLC's operating agreement.
• Vote to Dissolve: Typically, members must vote on dissolution. Document this decision as per your LLC's operating agreement.

Financial Obligations

• Settle Outstanding Debts: Pay off any debts and obligations.
• Close Business Accounts: Close any business-related bank accounts, credit lines, and cancel unused licenses or permits.

Legal and Tax Requirements

• File Articles of Dissolution: Submit the required dissolution documents to your state's business filing agency.
• Cancel Business Name and Trademarks: Ensure your business name and any trademarks are no longer in use.
• File Final Tax Returns: File any final federal, state, and local tax returns. Indicate that these are the final returns for the business.

Notifying Stakeholders

• Inform Creditors: Notify creditors of your LLC's dissolution.
• Notify Customers, Suppliers, and Partners: Inform any other stakeholders of your business closure.

Record Keeping

• Keep Business Records: Maintain business records for the period required by your state laws.

Additional State-Specific Requirements

• Check for State-Specific Requirements: Some states may have additional requirements or forms to complete.

Post-Dissolution

• Distribute Remaining Assets: After debts and obligations are settled, distribute remaining assets among members according to ownership percentages.
• Keep Documentation: Retain copies of the dissolution documents and financial records.